Iran’s NITC Eyes Public Listing to Raise Cash

Image Courtesy: NITC

Iranian crude oil transporter the National Iranian Tanker Co (NITC) is planning to publicly list the company’s shares in an effort to raise cash to ready for a comeback to the global market following sanctions lifting.

The information was disclosed to Reuters by Nasrollah Sardashti, NITC’s commercial director, who added that NITC would first list on local exchanges and then pursue opportunities overseas. Nevertheless, the move still needs to be cleared by the company’s board.

In addition, Sardashti said that the company wants to renew some of its older tonnage by ordering younger tonnage to replace at least 20 older tankers.

Lifting of sanctions against Iran means that 14.1 million DWT of Iranian tankers would be free to trade globally.

However, before the country’s ships can start plying international waters they need to attain compliance with respect to vessel safety and environmental standards. In this context, Iran is already in talks with several classification societies including Lloyd’s Register, DNV GL and RINA to ensure classification of its fleet.

NITC, Iran’s largest VLCC owner, is ranked 6th in the world, owning 37 VLCCs worth USD 2.1 billion, according to VesselsValue’s data. Iran’s tanker fleet is valued today at USD 2.7 billion and is currently placed 8th in the world by value.